Financial crisis in personal terms

I found the following article today after a friend informed me last week that LLanera were having a few financial difficulties. http://www.reuters.com/article/bondsNews/idUSL2456131420070924?pageNumber=2 Has anyone had any correspondence regarding above? Any news would be greatly appreciated.

My agent is up beat and has full confidence in llanera being ok, the artical gives a clue to this where a bit of press can make a run on stock and put a bad slant on things as llanera said in the artical, I'm still in the dividend to me is still good but thats my feeling

 

Jonty

All this talk of agents being upbeat is a little hard to awallow. The reality is that we've lost £2,000 and are lucky that it's not considerably more.I've just returned from Spain and the property market is dire . Under these circumstances banks would be mad to re structure Llaneras finances or offer them loans to build houses that no one will buy . Prices are in free fall.No one is buying. Given all this does anyone seriously expect a financial guardian angel to turn up for Llanera.                          All this may be a blessing in disguise as those intent on buying who could bag a bargain when prices colapse. Just lets consider ourselves lucky that we had'nt handed over the main deposit.

I have reserved two properties in the development, I was already considering cancelling the reservation for one of them (eggs in one basket) but I admit with this financial diffulculty Llanera are having I have decided to cancel the Chalet but will keep the Villa reservation and hang in there for a few months and see what pans out.

But I can ensure you all you have not lost the £2000.00 reservation fee, I have spoke to Foxtons, filled out the cancelation form and received the £2k no problems at all?

Ihave had the same feedd back the deposit is there if I want it but, I'm leaving it for a couple of months and seeing what happens

JOn

just been informed my our agents Ocean that Llaneria have declared themselves bankrupt, not sure about getting back our deposit, but will try.  Any one else heard anything?

Nothing seen in the financial web sites? reuters/FT.com etc. Normally these are the first people to find out, news like this would have captured the british press as well.

Maybe a lot of Chinese whispers?

I have been unable to contact Llanera for the past few days. It is becoming clear that something is very amiss with this company and that our chances of getting our money back is very remote. I think that those contributors to this site who are in denial of this are either wishfull thinkers or trying to gloss over some very real losses that we have incured.

http://www.cincodias.com

 

I use the above web site for info, the translate the articles via Google tool

 

Jon

This morning I received a detailed letter of explanation from my agent, Blue Sun World., including a copy of a formal statement issued by the Board of Caravaca Nature Golf S.L.on 1st October.  

Whilst Llaner SL have filed for insolvency they are a minority shareholder in Caravaca Nature Gilf S.L. who hold reservations "safely" in a clients account. The majority shareholders  J.L Abellaneda and Renan Teresa have reaffirmed their intention of proceeding with the development, the balance of shares now likely to be held by one of the banks. Caravaca Nature Golf S.L. has taken over responsibility for the client services previously handled by Llanera and promisses to improve the level of srvice in this area. Negotiations over detailed planning continue and they expect "Plan Parcial Final" within 6 to 12 months.

Blue Sun World has reiterated that those who "want your deposit monies returned, then Caravaca Nature Golf S.L. has the obligaqtion and responsibility to do so and they will guarantee the return of your 3,000 euro deposit". For my part I am happy to stay with it. The planning delays do not worry me. I would sooner they get it right, afterall it was the sensitive nature of the site that was a major attraction.

Paul

We have had the same confirmed by our agent Robin Ford at Global Spaces, that Llanera had only a third of the shares, and that the remaining shareholders will be taking over Llanera's share. We are still going to go ahead, and we have been assured that if we want our reservation fee back, there is no problem.

 

My agent has been upbeat all the time and I'm in for the long run, I'm back over in March 08, hope to see some holes in the ground you never know.

 

Jon

Hi Everyone,

I thought that I would post up this statement from Iain Maitland at Spain Property Alerts, it sheds a little more light on whats happening at Llanera. 

"Valencia property developer Llanera has been declared insolvent with debts of 748 m euros. Is this the start of a domino effect? Rating agency Moody’s is quoted as saying that if the economy has a hard landing default rates could rise from 0.37 per cent to 5.5 per cent and if that happens property prices could fall by 20 per cent. That’s a lot of ifs."  It is, however comforting to find out that Llanera are only minority shareholders in this development.  I have not had any info from my agents.  As I went through Foxtons, who dropped the development a couple of months ago! I do not expect them to provide information any longer, is anyone else in the same boat? Does anybody have any idea, who we can contact, in the absence of Foxtons for up to date info.

Hi leytonstoneblue.

Try Blu Sun World based in Maidstone. Telephone 01622 350735 or www.bluesunworld.com. They are part owned by the majority shareholders in the development.

Paul

Hi Paul,

Thanks for the reply and the suggestion, I have just been onto their website to have a quick look and can't see the Caravaca development on there, is this an ominous sign, or have stopped marketing for the time being for any reason.  I would have assumed that they would have been marketing the second phase.

Hi Leytonstone blue

As you will see from my post of 4 October, they have been very open about the situation. They expect  one of the Spanish banks to takover Llanera's shareholding. They continue to actively negotiatde the detailed planning, which is understandably taking time, as we would expect for a large development in a sensitive area. With the existing outline planning this should be just a matter of time. Personaly I believe any delay is in our favour; whilst price falls can be expected on the overdeloped coast this development is quite another matter. It is a gamble but one I'm prepared to make. With our deposits secure it is not a badbet! Mind you if the detailed planning showed that Llanera's original concept was lost I would change my view. Time will tell!!!

Paul

 

Hi Paul,

I pretty much go along with much of what you say.  Has the development stopped being marketed on Blue Suns website or have I just missed it?  I am still optimistic however if there are any questions over the planning, this may have set the process back, as know doubt confidence in the development industry will be dented.

 

It still features in their Imagination zone but it doesn't surprise me that they are not actively marketing the devlopment in the light of presnt circumstances. They have given me the option to switch to another development paying the new deposit themselves, either refunding my Caravaca deposit or giving me the option to retain my Caravaca reservation. At the moment this is open ended so I'm happy to hedge my bets.

I'm away for a fortnight but not expecting much to change in the near future. It's good to keep in touch

Paul

Is there anyone out there who has ACTUALLY had their deposit back recently? I've drawn a blank with Blue sun world and Llanera. If so please let me know how its done.

I was offered mine but I'm staying in for the long run , one of the lads below said he had 2 properties, but got his deposit back on one but was staying with the other prperty for a while longer,

 

Jonty